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Case Study

MCC smart: Innovators must break rules–but how many?

By Ulrich Steger and George Rädler

23 pages

August 2000

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Reference: IMD-3-0768

Smart is the youngest car maker in the world. The car, jointly developed by Swatch watches and DaimlerChrysler, was initially considered as a revolutionary car. The car was a 2-seater and measured only 2.5 meters. In order to overcome the space limitations, the company offered a “mobility concept.” The car was to be sold through 100 exclusive Smart dealers across Europe. However, sales for this innovative concept were far behind expectations. Initial sales estimates of 140,000 units per year were soon reduced to 80,000 units. At times, even the revised goal posed a real challenge. Industry observers expected DaimlerChrysler to abandon the Smart. Instead, DaimlerChrysler started one last attempt to save the car by installing Mr. Andreas Renschler as the new CEO in the fall of 1999. Renschler is one of the most promising managers of DaimlerChrysler and his task is to “fix it.” The case describes the challenges Renschler has been facing since he took over. The market had changed from ecology-oriented to fun-oriented, the distribution system was considered inadequate and Mr. Jürgen Schrempp, the CEO of DaimlerChrysler, was increasingly running out of patience about increasing losses at Smart.

Keywords

Change, Automotive

Settings

Europe
Daimler, Swatch
1999

Type

Field Research

Available Languages

English

Related material

Teaching note, Video

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The price of innovation: Will Medacta compromise its DNA by embracing robotics?

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Case reference: IMD-2663 ©2025

Summary

Medacta Group SA is a rising star in the orthopedics market, achieving global success through innovative products and techniques, with a particular emphasis on minimally invasive techniques that bring meaningful value to its patients. With its approaches such as Anterior Minimally Invasive Surgery (AMIS) for hip replacement and Kinematic Alignment for knees, Medacta offers high-quality techniques, supporting tools and cutting-edge implants. It also offers personalized surgeon education through the Medacta Orthopedic Research and Education (M.O.R.E.) Institute. Medacta is situated in an evolving landscape, with competitors including Stryker and Zimmer Biomet investing heavily in robotic technologies. Technological advances are being made in data-driven planning tools – including augmented reality – and research institutes are looking for the most advanced solutions as demanded by many hospitals and surgeons. Despite these trends in the industry, Medacta's CEO, Francesco Siccardi has concerns regarding the value of existing robotic systems, noting their lack of proven benefits in patient outcomes or cost reductions, especially in a context of increasing emphasis on value-based care and sustainability. The case explores the opportunities and challenges confronting Medacta as they decide whether to enter the orthopedic robotics market. The company wants to continue to differentiate itself and drive growth in line with its foundational principles of patient care, operational excellence and sustainable innovation. Today, Francesco faces a critical decision around whether now is the time to enter the robotics market and, if so, how Medacta should do so to preserve its culture and stay true to its DNA.

Reference IMD-2663

Organization Medacta Group

Industry Healthcare, Medical Device

Available Languages English

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